On this episode of Logistics Strategies Radio, Tony Nuzio, President of ICC Logistic Services, a renowned logistics consultant firm, discusses the rise of domestic trucking rates. Tony takes a close look at exactly what is happening in the logistics industry, what is causing the rise of domestic trucking / freight rates, and what we can do as shippers to keep our shipping costs down.
Tune in to hear the main reasons domestic trucking rates have risen and some solutions such as:
• There is a critical shortage of drivers in the domestic truck driving industry.
• The large size of distribution networks keeps drivers on the road for 7-10 days.
• The growth in the economy leads to a tighter capacity on trucks and subsequent increased rates.
• There has been a change in how commodities get priced in the trucking industry.
• Shippers are using carriers that do not meet their business model’s needs.
• Shippers do not differentiate between services they want and services they need.
• Shippers are not benchmarking their rates to those rates which are available to them.
Stay tuned for future Podcasts!